CITY OFFICE REIT INC (CIO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CIO - US1785871013 - REIT
6.95 USD
0 (0%)
6.9599 USD
+0.01 (+0.14%)
CIO gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 128 industry peers in the Diversified REITs industry. The financial health of CIO is average, but there are quite some concerns on its profitability. CIO has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
CIO had negative earnings in the past year.
In the past year CIO had a positive cash flow from operations.
In multiple years CIO reported negative net income over the last 5 years.
In the past 5 years CIO always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of CIO (-12.08%) is worse than 95.31% of its industry peers.
Looking at the Return On Equity, with a value of -21.14%, CIO is doing worse than 85.16% of the companies in the same industry.
The Return On Invested Capital of CIO (2.04%) is worse than 64.06% of its industry peers.
CIO had an Average Return On Invested Capital over the past 3 years of 1.69%. This is in line with the industry average of 3.05%.
The 3 year average ROIC (1.69%) for CIO is below the current ROIC(2.04%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.08% | ||
| ROE | -21.14% | ||
| ROIC | 2.04% |
ROA(3y)-0.59%
ROA(5y)5.55%
ROE(3y)-1.18%
ROE(5y)10.12%
ROIC(3y)1.69%
ROIC(5y)1.79%
1.3 Margins
The Operating Margin of CIO (16.36%) is worse than 64.06% of its industry peers.
In the last couple of years the Operating Margin of CIO has declined.
CIO's Gross Margin of 60.54% is on the low side compared to the rest of the industry. CIO is outperformed by 64.84% of its industry peers.
In the last couple of years the Gross Margin of CIO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.36% | ||
| PM (TTM) | N/A | ||
| GM | 60.54% |
OM growth 3Y-7.81%
OM growth 5Y-2.95%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.77%
GM growth 5Y-1.27%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CIO is destroying value.
The number of shares outstanding for CIO has been increased compared to 1 year ago.
The number of shares outstanding for CIO has been reduced compared to 5 years ago.
Compared to 1 year ago, CIO has a worse debt to assets ratio.
2.2 Solvency
CIO has an Altman-Z score of 0.71. This is a bad value and indicates that CIO is not financially healthy and even has some risk of bankruptcy.
CIO has a better Altman-Z score (0.71) than 62.50% of its industry peers.
The Debt to FCF ratio of CIO is 24.74, which is on the high side as it means it would take CIO, 24.74 years of fcf income to pay off all of its debts.
CIO has a better Debt to FCF ratio (24.74) than 74.22% of its industry peers.
A Debt/Equity ratio of 0.65 indicates that CIO is somewhat dependend on debt financing.
The Debt to Equity ratio of CIO (0.65) is better than 85.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 24.74 | ||
| Altman-Z | 0.71 |
ROIC/WACC0.33
WACC6.28%
2.3 Liquidity
CIO has a Current Ratio of 2.03. This indicates that CIO is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 2.03, CIO belongs to the best of the industry, outperforming 82.03% of the companies in the same industry.
CIO has a Quick Ratio of 2.03. This indicates that CIO is financially healthy and has no problem in meeting its short term obligations.
CIO's Quick ratio of 2.03 is amongst the best of the industry. CIO outperforms 82.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.03 | ||
| Quick Ratio | 2.03 |
3. Growth
3.1 Past
CIO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -661.90%.
Looking at the last year, CIO shows a decrease in Revenue. The Revenue has decreased by -5.61% in the last year.
The Revenue has been growing slightly by 1.83% on average over the past years.
EPS 1Y (TTM)-661.9%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-27.27%
Revenue 1Y (TTM)-5.61%
Revenue growth 3Y1.43%
Revenue growth 5Y1.83%
Sales Q2Q%-12.03%
3.2 Future
CIO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.23% yearly.
Based on estimates for the next years, CIO will show a small growth in Revenue. The Revenue will grow by 2.35% on average per year.
EPS Next Y34.84%
EPS Next 2Y16.12%
EPS Next 3Y12.23%
EPS Next 5YN/A
Revenue Next Year-1.16%
Revenue Next 2Y1%
Revenue Next 3Y2.35%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CIO reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year CIO is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CIO indicates a rather cheap valuation: CIO is cheaper than 96.88% of the companies listed in the same industry.
CIO's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CIO is cheaper than 80.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.42 | ||
| EV/EBITDA | 7.88 |
4.3 Compensation for Growth
CIO's earnings are expected to grow with 12.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y16.12%
EPS Next 3Y12.23%
5. Dividend
5.1 Amount
CIO has a Yearly Dividend Yield of 5.76%, which is a nice return.
Compared to an average industry Dividend Yield of 6.33, CIO has a dividend in line with its industry peers.
CIO's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.76% |
5.2 History
The dividend of CIO decreases each year by -10.58%.
CIO has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-10.58%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of CIO are negative and hence is the payout ratio. CIO will probably not be able to sustain this dividend level.
DP-18.24%
EPS Next 2Y16.12%
EPS Next 3Y12.23%
6.95
0 (0%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners75.47%
Inst Owner Change20.32%
Ins Owners4.17%
Ins Owner Change0%
Market Cap280.50M
Revenue(TTM)163.79M
Net Income(TTM)-128.97M
Analysts72.5
Price Target6.25 (-10.07%)
Short Float %1.73%
Short Ratio1.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.76% |
Yearly Dividend0.59
Dividend Growth(5Y)-10.58%
DP-18.24%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1223.43%
Min EPS beat(2)-2408.25%
Max EPS beat(2)-38.61%
EPS beat(4)1
Avg EPS beat(4)-663.37%
Min EPS beat(4)-2408.25%
Max EPS beat(4)10.89%
EPS beat(8)3
Avg EPS beat(8)-343.88%
EPS beat(12)6
Avg EPS beat(12)-269.78%
EPS beat(16)9
Avg EPS beat(16)788.02%
Revenue beat(2)0
Avg Revenue beat(2)-7.03%
Min Revenue beat(2)-13.21%
Max Revenue beat(2)-0.85%
Revenue beat(4)0
Avg Revenue beat(4)-4.54%
Min Revenue beat(4)-13.21%
Max Revenue beat(4)-0.85%
Revenue beat(8)1
Avg Revenue beat(8)-2.78%
Revenue beat(12)2
Avg Revenue beat(12)-1.87%
Revenue beat(16)5
Avg Revenue beat(16)-1.38%
PT rev (1m)0%
PT rev (3m)-4.55%
EPS NQ rev (1m)0%
EPS NQ rev (3m)16.67%
EPS NY rev (1m)0%
EPS NY rev (3m)86.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.63%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 1.71 | ||
| P/FCF | 17.42 | ||
| P/OCF | 5.89 | ||
| P/B | 0.46 | ||
| P/tB | 0.48 | ||
| EV/EBITDA | 7.88 |
EPS(TTM)-3.2
EYN/A
EPS(NY)-0.4
Fwd EYN/A
FCF(TTM)0.4
FCFY5.74%
OCF(TTM)1.18
OCFY16.97%
SpS4.06
BVpS15.12
TBVpS14.52
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.08% | ||
| ROE | -21.14% | ||
| ROCE | 2.59% | ||
| ROIC | 2.04% | ||
| ROICexc | 2.09% | ||
| ROICexgc | 2.14% | ||
| OM | 16.36% | ||
| PM (TTM) | N/A | ||
| GM | 60.54% | ||
| FCFM | 9.83% |
ROA(3y)-0.59%
ROA(5y)5.55%
ROE(3y)-1.18%
ROE(5y)10.12%
ROIC(3y)1.69%
ROIC(5y)1.79%
ROICexc(3y)1.72%
ROICexc(5y)1.83%
ROICexgc(3y)1.79%
ROICexgc(5y)1.9%
ROCE(3y)2.14%
ROCE(5y)2.27%
ROICexgc growth 3Y-4.09%
ROICexgc growth 5Y-6.09%
ROICexc growth 3Y-3.25%
ROICexc growth 5Y-5.38%
OM growth 3Y-7.81%
OM growth 5Y-2.95%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.77%
GM growth 5Y-1.27%
F-Score6
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 24.74 | ||
| Debt/EBITDA | 4.77 | ||
| Cap/Depr | 55.6% | ||
| Cap/Sales | 19.23% | ||
| Interest Coverage | 0.79 | ||
| Cash Conversion | 57.04% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.03 | ||
| Quick Ratio | 2.03 | ||
| Altman-Z | 0.71 |
F-Score6
WACC6.28%
ROIC/WACC0.33
Cap/Depr(3y)52.99%
Cap/Depr(5y)267.48%
Cap/Sales(3y)18.45%
Cap/Sales(5y)93.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-661.9%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-27.27%
EPS Next Y34.84%
EPS Next 2Y16.12%
EPS Next 3Y12.23%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.61%
Revenue growth 3Y1.43%
Revenue growth 5Y1.83%
Sales Q2Q%-12.03%
Revenue Next Year-1.16%
Revenue Next 2Y1%
Revenue Next 3Y2.35%
Revenue Next 5YN/A
EBIT growth 1Y1.93%
EBIT growth 3Y-6.49%
EBIT growth 5Y-1.18%
EBIT Next Year231.49%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-36.61%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-17.52%
OCF growth 3Y-7.01%
OCF growth 5Y3.53%
CITY OFFICE REIT INC / CIO FAQ
What is the fundamental rating for CIO stock?
ChartMill assigns a fundamental rating of 4 / 10 to CIO.
Can you provide the valuation status for CITY OFFICE REIT INC?
ChartMill assigns a valuation rating of 3 / 10 to CITY OFFICE REIT INC (CIO). This can be considered as Overvalued.
How profitable is CITY OFFICE REIT INC (CIO) stock?
CITY OFFICE REIT INC (CIO) has a profitability rating of 2 / 10.
Can you provide the financial health for CIO stock?
The financial health rating of CITY OFFICE REIT INC (CIO) is 6 / 10.
Can you provide the dividend sustainability for CIO stock?
The dividend rating of CITY OFFICE REIT INC (CIO) is 4 / 10 and the dividend payout ratio is -18.24%.